The CEMETOME config member read by the CEMETOM stc at startup had the wrong allocation for INSTALL_PATH.
Resolution
Modifying the CEMETOME member (found in the .CUSTOM.CFGLIB library) from EXPORT INSTALL_HOME=${CEM_USSPATH} to EXPORT INSTALL_HOME='${CEM_USSPATH}/cai/cacem' corrected the location of the /logs directory and resolved the 'java.io.FileNotFoundException: /cai/cacem/DEVA/logs/cemreport.log (EDC5111I Permission denied.)' error condition.